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"We Need Innovation That Will Pay Off Tomorrow for Rail's Future," says HUPAC Group CEO Michail Stahlhut

&quote;We Need Innovation That Will Pay Off Tomorrow for Rail's Future,&quote; says HUPAC Group CEO Michail Stahlhut
photo: RAILTARGET/Michail Stahlhut
17 / 09 / 2024

RAILTARGET presents an interview with Michail Stahlhut, CEO of the HUPAC Group, at the Rail Summit in Prague. Stahlhut discusses the importance of collaboration, innovation, and increased capacity in the European rail freight sector, as well as the need for short-term achievements and strategic planning to ensure the future growth and competitiveness of railways across Europe.

Today we are meeting at the Rail Summit in Prague, organized by Žesnad. How do you perceive this? Why is this important?

It was so needed that we came together in Europe and discussed the things to be achieved. There's such a huge innovation power in the rail freight system. We have to focus on the real short achievables, and we are questioning today if the innovations set in the markets are the right ones. For example, the ETCS and ERTMS, which are impacting the capacity, and the Digital Automated Coupling which is impacting the next century and the capacity, therefore. We have to focus on it all today, hence today, we discussed today the achievements to be done during the next two years.

DAC is a huge topic. How is the funding for implementing DAC arranged? Currently, it is said that 50% of the costs will be covered by carriers. What do you think about this?

Currently, I guess that is a really hot topic. It's like a hot potato that nobody wants to have in their hands. DAC is supporting significantly the single wagon unit traffic – and this is needed. But the block train services like intermodal ones are supported only to a minor extent. The impact of shunting is limited there. These services take minor advantage of it. Maybe some percent dots, as there is an advantage of the last mile shunt. And what is a real advantage if we talk about heavier trains or longer trains? In this case, the infrastructure must be organized to have longer than 740m f.e. 1000-meter trains. Here, for example, the DAC could be heavily beneficial. Currently, 1000m is not really possible, therefore, DAC is a big use case for single-wagon unit traffic. This is the showcase where DAC should show its advantages. We see good old state railways as frontrunners, and we should take here all the lessons learned into account for a deeper implementation of this technology. DAC could after that possibly be implemented in other areas in the next century, the cost-benefit has to be proven.

What are the main conclusions from this event? Did you make, for example, some statements about the carriers from this meeting?

Yes. We need innovation that will pay off tomorrow for higher productivity and competitiveness in this sector. And we have to safeguard the capacity for our growth. If Europe’s rail infrastructure is under reconstruction—for instance, in Germany, we have a huge reconstruction phase—then we need much more capacity so that we can run our trains on detour routes. And if we are running detour trains we should on top of that allow on the entire EU Rail network a normal train length of 740m. This is increasing the payload per train because the average train length is due to infra restrictions limited far below 740m. And these two things are paying in higher and more efficient utilization of natural assets like labor, energy, environment, and infrastructure.

Do you want to continue in this kind of activity at these rail summits?

Yes, for sure. We need us all. It's not about one single entity, one single company. Everybody is needed to make this nice old continent of Europe more linked. And rail will link this continent. I am sure.

And do you have, for example, some kind of plan for the next steps? I mean the steps according to the European Union, European Commission, DG Move, and others.

Yes, for sure. Now, sitting together is not helping. We have to talk to the various decision-makers in the member states, and in Brussels too. We have to show that our power is really there and that we can help and team up with the industries to make Europe more efficient. And that we are able to link Bulgaria with Sweden, Spain with Italy, and maybe Belgium with Poland, etc.

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